Nickel
Nuinsco spun off its Minago, Mel and Lac Rocher nickel projects to create Victory Nickel Inc. (TSX:Ni). Nuinsco has a 2% equity interest in Victory Nickel, which, with the addition of the Lynn Lake mine has over 900 million pounds of in-situ nickel in NI43-101 M&I resources.
Minago Project, Manitoba
Victory Nickel is advancing its 100%-owned Minago Project, located in the Thompson Nickel Belt, toward production. Minago has more than 620 million lbs of in-situ nickel in M&I resources and 170 million lbs inferred, making it one of Canada’s largest undeveloped sulphide nickel deposits.
Mel Project, Manitoba
The Mel Project is located in northern Manitoba, 25 kilometres north of Thompson. Victory Nickel is earning 100% from Vale Inco. The Mel resource stands at 4.3 million tonnes of indicated resources grading 0.875% nickel between of 46 and 183 m.
Lynn Lake Project, Manitoba
The Lynn Lake sulphide nickel deposit is located in northern Manitoba. The Lynn Lake mine was operated by Sherritt-Gordon from 1953 to 1976. During its 23 years of operation, the mine produced over 20 million tonnes of Ni-Cu ore at a grade of 1.02% Ni and 0.54% Cu, making it the third largest nickel producer in North America. A prefeasibility study dated December, 2007 gives the project a net present value of $131 million at an 8% discount rate, and a bioleach option that could enhance returns has been evaluated.
Lac Rocher Project, Quebec
Located 140 km NE of Matagami in northwestern Quebec, the Lac Rocher project has measured and indicated resources of 1,190,288 tonnes grading 0.91% nickel (measured: 849,249 tonnes grading 1.05% Ni, indicated: 341,039 tonnes grading 0.64% Ni), at a 0.5% nickel cutoff, for approximately 25 million pounds of in-situ nickel located between surface and 125 vertical metres. Mineralization is open to the SW.
A preliminary economic assessment indicating that the project requires higher metal prices given the current size of the resource. The Company will continue the process to obtain the required permits, complete the access road improvements and do further geological work to be in a position to commence mining when metal prices reach the required levels.
